InvestorQ : For zeel any chances to go up in week?
mithun jajal made post

For zeel any chances to go up in week?

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rhea Babu answered.
3 years ago
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Zee has been an extremely volatile stock and most of the problems for the stock have nothing to do with the company performance. The promoters had pledged huge quantities of promoter shares with financers and mutual funds to take funding for the Essel Group infrastructure ventures. Most of the infrastructure ventures either turned out to be dud investments or the returns are coming after much later. Either ways, Zee has a problem on hand.

VTB of Russia which has lent money against 12% holdings in the stock is keen to just sell the stocks in the market and get its money back. Most of the mutual funds that had invested in the Essel Group bonds against promoter shares of Zee are also planning to do the same. In short the pressure on the company is going to be quite high. Zee has been trying hard to find a suitable buyer for the stake but till now they have only managed to sell a small part of it. The pressure on the stock price will continue for some more time and till then there is no point in going and buying the stock. As well wait for pressure to settle down.

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image
rhea Babu answered.
3 years ago
Follow

Zee has been an extremely volatile stock and most of the problems for the stock have nothing to do with the company performance. The promoters had pledged huge quantities of promoter shares with financers and mutual funds to take funding for the Essel Group infrastructure ventures. Most of the infrastructure ventures either turned out to be dud investments or the returns are coming after much later. Either ways, Zee has a problem on hand.

VTB of Russia which has lent money against 12% holdings in the stock is keen to just sell the stocks in the market and get its money back. Most of the mutual funds that had invested in the Essel Group bonds against promoter shares of Zee are also planning to do the same. In short the pressure on the company is going to be quite high. Zee has been trying hard to find a suitable buyer for the stake but till now they have only managed to sell a small part of it. The pressure on the stock price will continue for some more time and till then there is no point in going and buying the stock. As well wait for pressure to settle down.

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